The General Assembly Seems Ready to Provide Some Consistency in Mechanic’s Lien Waiver
March 14, 2018 —
Christopher G. Hill – Construction Law MusingsBack in 2015, the
Virginia General Assembly amended the mechanic’s lien statute (Va. Code 43-3) here in Virginia to preclude any contractual provision that diminishes a subcontractor or supplier’s “lien rights in a contract in advance of furnishing any labor, services, or materials.” However, this amendment was only applicable to subcontractors and suppliers. For political and other reasons, general contractors in Virginia were left out of this change. This omission by the legislature put Virginia general contractors in the position of potentially being forced by project owners to waive their mechanic’s lien rights without the ability to run that risk downstream to their subcontractors and suppliers.
Read the court decisionRead the full story...Reprinted courtesy of
Christopher G. Hill, The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
20 Wilke Fleury Attorneys Featured in Sacramento Magazine 2020 Top Lawyers!
August 10, 2021 —
Wilke Fleury LLPCongratulations to Wilke Fleury’s featured attorneys who made the Sacramento Magazine’s Top Lawyer List for 2020!
Each attorney has been awarded an accolade in the following practice areas:
Kathryne Baldwin – Insurance
Dan Baxter – Business Litigation & Government Contracts
Adriana Cervantes – Medical Malpractice
Heather Claus – Health Care
Aaron Claxton – Health Care
Dan Egan – Bankruptcy and Creditor/Debtor
Samson Elsbernd – Employment & Labor
Danny Foster – Litigation Insurance
David Frenznick – Construction & Construction Litigation
George Guthrie – Real Estate & Construction Litigation
Read the court decisionRead the full story...Reprinted courtesy of
Wilke Fleury LLP
Apartment Boom in Denver a Shortcut Around Condo Construction Defect Suits?
September 24, 2013 —
CDJ STAFFFor every condo currently being built in Denver, there are 40 apartment units. And there are some who think that this is being done to evade construction defect lawsuits. At issue is the statute of limitations for construction defects. Under Colorado law, condominium buyers have six years after the completion of constrution to sue for construction defects, unless the defect isn’t discovered until the fifth or six year, in which case they are given until the eighth year. But what if someone built an apartment building, rented out the units for six years, and then converted the whole thing to condominiums?
Some think that the construction defect clock would be reset. Amie Mayhew, the CEO of the Colorado Association of Home Builders noted that if this is the case, “you’d be back at square one.” But Doug Benson, a construction defect attorney, thinks that if a builder did this, and didn’t make any further construction, no one would be able to sue for construction defects, even if the condo owners found them. Mr. Benson, who represents homeowners, said that “they’re apartment homes and that’s just to avoid liability.”
Mike Gifford, the president of the Associated General Contractors of Colorado, noted that insurance companies were already wary of apartment complexes, fearing that they would be turned into condos. Whatever the cause, Denver seems to have a shortage of condos. But, they’re going to have a lot of apartments available.
Read the court decisionRead the full story...Reprinted courtesy of
Defective Stairways can be considered a Patent Construction Defect in California
September 24, 2014 —
William M. Kaufman – Construction Lawyers BlogStairs are not safe! At least the Court of Appeal in the Second Appellate District of California doesn’t think so.
A rail station in Los Angeles was completed by the Los Angeles County Metropolitan Transportation Authority (“MTA”) in 1993. The rail station was part of the development of the Southern California Rapid Transit District Metro Rail Project. In 2011, the plaintiff fell on a stairway at the station. In August 2012, Plaintiff sued the MTA for dangerous condition of public property, statutory liability, and negligence. Among other defects, plaintiff alleged the banister of the stairwell was “too low” and the stairwell “too small” given the number, age, and volume of people habitually entering and exiting the rail station. In addition, plaintiff alleged that MTA “failed to provide adequate safeguards against the known dangerous condition by, among other acts and omissions, failing to properly design, construct, supervise, inspect and repair the Premises causing the same to be unsafe and defective for its intended purposes.” MTA, in turn, cross-complained against Hampton- the entity that provided design and construction services at the station.
Hampton demurred to the first amended cross-complaint, asserting a four year statute of limitations defense pursuant to California Code of Civil Procedure section 337.1, claiming the alleged deficiencies were patent defects. On September 11, 2013, the trial court overruled the demurrer finding that the defect was not patent. Hampton appealed.
The appellate court overruled the trial court’s ruling and in fact, granted Hampton’s writ of mandate and even directed the trial court to sustain the demurrer without leave to amend! (Delon Hampton & Associates v. Sup. Ct. (Los Angeles County Metropolitan Transportation Authority) (Cal. App. Second Dist., Div. 3; June 23, 2014) 227 Cal.App.4th 250, [173 Cal.Rptr.3d 407].)
The appellate court found that the purpose of section 337.1 is to “provide a final point of termination, to proctect some groups from extended liability.” A “patent deficiency” has been defined as a deficiency which is apparent by reasonable inspection. See Tomko Woll Group Architects, Inc. v. Superior Court (1996) 46 Cal.App.4th 1326, 1336. The court found a patent defect can be discovery by the kind of inspection made in the exercise of ordinary care and prudence, whereas a latent defect is hidden and would not be discovered by a reasonably careful inspection. See Preston v. Goldman (1986) 42 Cal.3d 108, 123. The test to determine whether a construction defect is patent is an objective test that asks “whether the average consumer, during the course of a reasonable inspection, would discover the defect…” See Creekbridge Townhome Owners Assn., Inc. v. C. Scott Whitten, Inc. (2009) 177 Cal.App.4th 251, 256.
Mr. Kaufman may be contacted at wkaufman@lockhartpark.com, and you may visit the firm's website at www.lockhartpark.com
Read the court decisionRead the full story...Reprinted courtesy of
William M. Kaufman, Lockhart Park LP
Housing Gains Not Leading to Hiring
October 25, 2013 —
CDJ STAFFAlthough construction spending has been rising steadily, the Labor Department noted that most of the 20,000 jobs added by the construction industry in September were for nonresidential construction. In a year that saw an 18% gain in residential construction spending, there was only an increase of 4.8% in employment.
The lack of hiring seems to indicate a lingering lack of confidence in the homebuilding market. Employers are having workers do overtime, rather than employ additional people.
Read the court decisionRead the full story...Reprinted courtesy of
Is It Time to Digitize Safety?
October 24, 2022 —
Peter Grant - Construction ExecutiveIt’s valid to ask whether digitizing a safety program actually makes companies safer. Here is what the data says.
All contractors face unique risks that call for custom safety measures. But they also face a handful of similar challenges in this area—including time-consuming paperwork, scattered documentation, as well as a lack of visibility into safety performance.
A new report from Foresight Commercial Insurance, “The State of Safety in High Hazard Work Environments,” offers insights into companies’ safety struggles and points to possible solutions. Based on a survey of workers from high-risk industries like construction, the report outlines challenges that are painfully familiar. For example, four out of 10 respondents reported that they have felt pressured to work unsafely in order to complete tasks more quickly or to meet upcoming deadlines.
Reprinted courtesy of
Peter Grant, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the court decisionRead the full story...Reprinted courtesy of
More In-Depth Details on the Davis-Bacon Act Overhaul
November 06, 2023 —
Seth C. Wiseman & Angela M. Richie - Construction ExecutiveThe U.S. Department of Labor’s finalization of a
rule updating the Davis-Bacon Act, the federal law that governs how prevailing wages for federal construction projects can be determined, will have a significant impact on contractors and workers alike in the construction industry. The new rule, in effect, adopts the 30% rule, meaning that the prevailing wages must be equal to the wage paid to at least 30% of workers of a particular classification in a particular area. The new rule also implements a new anti-retaliation provision, specifically protecting construction workers who raise concerns about payment practices from adverse employment actions. The timing of this new rule is particularly significant for contractors, as it will likely raise the cost of labor for contractors at a time when the Infrastructure Investment and Jobs Act and the CHIPS Act are providing additional funding for federal projects across the country. Thus, it is important for all parties in the construction industry to understand the updated rule in order to evaluate the short-term impacts on their respective projects and long-term impact on their respective businesses.
Reprinted courtesy of
Seth C. Wiseman & Angela M. Richie, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Mr. Wiseman may be contacted at swiseman@grsm.com
Ms. Richie may be contacted at arichie@grsm.com
Read the court decisionRead the full story...Reprinted courtesy of
Exculpatory Provisions in Business Contracts
May 30, 2018 —
David Adelstein - Florida Construction Legal UpdatesAn exculpatory provision in a contract is a provision that relieves one party from liability for damages. It shifts the risk of an issue entirely to the other party. Such a provision is generally drafted by the party preparing the contract that is looking to eliminate or disclaim liability associated with a particular risk, oftentimes a risk within their control. These provisions are also known as limitation of liability provisions because they do exactly that — limit liability as to a risk. For this reason, they can be useful provisions based on the context of certain risks, and are provisions that are included in business contracts (such as construction contracts).
While such clauses are disfavored, they are enforceable if they are drafted clearly, unambiguously, and unequivocally. If they are unclear, ambiguous, or equivocal, they will construed against enforcement. See Obsessions In Time, Inc. v. Jewelry Exchange Venture, LLP, 43 Fla.L.Weekly D1033a (Fla. 3d DCA 2018) (finding exculpatory clause in lease ambiguous and, therefore, unenforceable as to lessor looking to benefit from the exculpatory clause).
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com